Origen Acquires 100% Interest in the Broken Handle High-Grade Gold-Silver Project, Southern BC
488 – 625 Howe St.
Vancouver, BC
V6C 2T6, Canada
604-681-0221
Origen Acquires 100% Interest in the Broken Handle High-Grade Gold-Silver
Project, Southern BC
Vancouver, B.C . May 11, 2020 . Origen Resources Inc. (the “Company” or “ Origen”) (CSE: ORGN) is
pleased to announce that it has acquired a 100% interest in the 2,098 hectare Broken Handle high-grade
gold-silver and base metal project (“Broken Handle ” or the “Project”) located 50km north of Grand
Forks, BC.
Key Highlights
• Broken Handle is located 3km to the so uth of the proli fic Franklin gold mining camp which was a
center of activity in the early 1900s and spanned a period of 76 years.
• Exploration work in 2018 and 2019 rediscovered several historically prominent mineral occurrences
including showings that have not seen exploration work since the 1920’s.
• Highlighted grab s amples* include 23 g/t Au with 973 g/t Ag from the Zap showin g, 7.17 g/t Au
from the Alco showin g, 0.53 g/t Au, 363 g/t Ag an d 0.616% Cu from the Morrell Camp and 0.5 g/t
Au, 315 g/t Ag and 1.58% Cu from the C.P.R. showing.
* Grab samples are by def inition selective. Grab samples are sole ly designed to show the presence or
absence of mineralization, and are not intended to provide nor should be construed as a representative
indication of grade or mineral ization at the Project. Refer below for fuller disclosure on the 2019 grab
sampling program and results.
“The acquisition of Broken Handle fits well with our growing portfoli o of precious metal projects” states
Gary Schellenberg, CEO and “The recent results support the reported level of historic activity centered
on the area and indicate a possible relationship between several of the mineral occurrences that has yet
to be revealed.”
The road accessible Broken Handle project covers historical and new mineral showings similar in nature
to those found at the prolific Franklin Camp1 located 3 km n orth. Over a 76 year peri od, the Frankli n
Camp produced greater than 1,392,000 oz. Ag and 55,500 oz Au2 (UNION Minfile 082ENE003 Production
Detail Report). Two distinct styles of mineralization are evident at the Project; polymetallic epithermal
veins (Ag-Pb-Zn-Cu +/- Au), potentially related to the regional Granby Fault and Cu-Pb-Zn-Ag-Au skarns
associated with limestone and marble lenses in contact with intrusive rocks.
(1) Camp refers to a colony of miners settled in proximity to a mine, or series of mines or workings.
(2) Referenced nearby historic resources, deposits and mines provide geologic context for the Project, but
are not necessarily indicative that the Project hosts similar potential, size or grades of mineralization.
Exploration work over the l ast two years resulted in the discovery of several new showings, and the
rediscovery of old mineral workings. Th e most signifi cant achievement was locating the Morrell Camp
that is series of mineralized historical workings that have not seen exploration work since the late 1920s.
A 2019 rock grab sample* from the mineralized waste pile of one shaft in the Morrell Camp assayed
0.53 g/t A u, 363 g/t Ag an d 0.616% Cu. Another redi scovered his torical s haft (the C.P.R), 750 m
northeast from the pr evious sample, assayed 0.5 0 g/t Au, 315 g/t Ag and 1.58% Cu from a rock grab
sample* and is interpreted to represent a strike extension of the workings in the Morell Camp.
488 – 625 Howe St.
Vancouver, BC
V6C2T6, Canada
604-681-0221
– 2 –
Broken Handle Highlight Rock Grab Samples
All me ntion of the Morell Camp disappear ed from written record by 1929, and Origen believes the
recent field work is the first to examine this area in over 90 years. Origen considers the Morell Camp to
be the priority target on the Broke n Handle Property as it believes the s ource of the high-grade gold
mineralization referenced in the historical literature has yet to be identified.
There are also several other mineralized are as of note at the Project, including the rediscovered Alco 6
gold showing. Exploration work in 2002 on a claim that included the northeast portion of the present
boundary o f the Broken Handle project resulted in this discove ry, but it was never added into the
provincial mineral database (Minfile). The area was rediscovered in 2019, and two g rab samples*
collected from outcrop assayed 7.17 g/t Au and 1.06 g/t Au respectively. An additional miner al
occurrence is the Zap, a mineral showing discovered in the 1990’s and located in the southeastern
portion of the claim, that returned 23 g/t Au with 973 g/t Ag from a grab sample* taken in 2019.
Exploration work conducted by the Vendor at the Project in 2018 and 2019 resulted in 44 rock samples
being collected with resu lts ranging from <0.001 – 23.03ppm Au, <0.001 – 973ppm Ag, 0.001 – 1.58%
488 – 625 Howe St.
Vancouver, BC
V6C2T6, Canada
604-681-0221
– 3 –
Cu, 0.005 – 1.39% Pb and 0.003 – 4.24% Zn. Rock samples were submitted to MSA Labs in Lang ley, BC
and underwent a multi -element ore -grade ICP analysis with a true aqua-regia digestion . Gold was
analyzed by fire assay using a 30g fusion size with an atomic absorption spectroscopy (AAS) fin ish (FAS-
111) with detection limits of 0.005 -10 ppm Au. Sample s assumed to contain elevated precious metals
were subject to a fire assay with a 30g fusion size and a gravimetric finish (FAS-415) with detection limits
of 0.05 to 1,000 ppm Au.
The arms-length Vendor ha s granted Origen (Purchaser) the sole and e xclusive right to acquire an
undivided 100% right, title and interest in and to the 2 ,098 hectare mineral claim that constitutes the
Broken Handle project. In exchange, the Purchaser will make a one-time issuance of 1,500,000 shares of
Origen within 10 days of the date of execution of the Sale and Purchase Agreement. Upon receipt of the
payment by the Vendor, an undivided 100% interest in and to the Broken Handle project will vest to the
Purchaser subject to a 1% NSR being granted to the Vendor whereby half (0.5%) of the NSR Royalty can
be purchased for $1,000,000 thereby reducing the NSR Royalty to 0.5%.
Patrick McLaughlin, P. Geo., a Qualified Person as defined by NI 43-101, supervised all technical aspects
of the work programs performed by th e Vendor at the Project, has verified the 2019 exploration data
disclosed, including sampling, analytical and test data contained in th e written disclosure , and has
reviewed and approved the contents of this news release.
Kagoot Project Update
Origen is pleased to announce that it has entered into a sale, assignment and assumption agreement
(the “Assumption Agreement”) dated May 11, 2020 with Ironwood Capital Corp. (“Ironwood) (TSX-V:
IRN.P) respecting the purchase and assumption by Ironwood of all of Origen’s right, title and interest in,
to and under its interest in an option and joint venture agreement (the “Underlying Agreement”) dated
May 10, 2018, as amended January 7, 2020 (“Great Atlantic”) (the “Transaction”).
The Transaction
Under the Assumption Agreement, Origen will sell, transfer, assign, convey and set over to Ironwood all
of Origen’s right, title, benefit, interest and obligations in, to and under the Underlying Agreement. As
consideration for the a ssignment, Ironwood will issue an ag gregate of 500,000 common shares in the
capital of Ironwood to Origen. The Tra nsaction is subject to completion of ce rtain conditions precedent,
including without limitation receipt of Exchange approval and writt en consent of Grea t Atlantic to the
assignment of the Underlying Agreement.
Pursuant to the Underlying Agreement, Origen , as optionee, has the right to earn (th e “Option”) a 75%
interest (subject to a 2% net smelter returns royalty contained in the Underl ying Agr eement) in the
Kagoot Brook property (the “Property”) located near Bath urst, New Brunswick, comprised of one
mineral tenure covering 4,233 hectares and registered in Great Atlantic’s name. Origen is current in its
obligations under the Underlying Agreement, including incurring $100,000 in exploration expenditures
on the Property during the 2018 exploration season. To successfully exercise the Option, the optionee is
required to: (a) as operator on the Property, make a total of $650,000 of explorat ion expenditures on
the Property on or before May 10, 2022; and (b) make aggregate cash payments of $110,000 to Great
Atlantic, as follows: $30,000 by May 23, 20 20; $30,000 by January 23, 2021; and $50,000 by January 23,
2022. Once the Option has been exer cised, certain tenures comprising the Property will be subject to a
488 – 625 Howe St.
Vancouver, BC
V6C2T6, Canada
604-681-0221
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2% NSR royalty in favour of the prospectors who stake d those tenures, with 1% of such NSR roy alty
being subject to a repurchase right for $500,000. Upon successful exercise of the Option, the optionee
shall have acq uired an undivided 75% interest in the Property, which interest will be subject to the
75%/25% joint venture formed between the optio nee and Great Atlantic under the terms provided in
the Underlying Agreement. If a joint venture party d oes not con tribute i ts proportionate share of
expenditures on the Property, the non -contributing party’s joint ve nture interest will be reduced
proportionately. If Great Atlantic’s joint venture interest is reduced to 5% or less, Great Atlantic wil l be
deemed to have withdrawn from the joint venture and its remaining interest in the Property will convert
into a 3% net smelter royalty, with the optionee having the right to repurchase up to 2% of such royalty
for $1,000,000 per each 1%.
About Origen
Origen is an exp loration com pany eng aged in generating, acquiring and advancing base and precious
metal p roperties. The Company currently holds a property portf olio of four 100% own ed base and
precious metal projects in British Columbia.
On behalf of Origen,
Gary Schellenberg, CEO
For further information, please contact Gary Schellenberg, CEO or Mike Sieb, Director at 604-681-0221
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined
in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy
of this press release.